Bait & Switch: Underbidding Crane Repairs | Crane Insurance

Crane and other heavy construction equipment accidents can be challenging to repair. It can also be difficult to provide accurate appraisals and assessments for putting the machinery back into service. But, if you are a customer or an insurance provider, it is not too much to expect.

It is very common that significant crane accident damage is not clearly evident and may not reveal itself until the equipment is disassembled and properly surveyed. Unfortunately, this can lead to requests for supplemental payments, sometimes to the extent that it may eventually put the cost to repair over the insured limits. However, a quality crane repair service provider should be able to think, plan for, and work through the damaged equipment and provide a reasonably accurate proposal to repair, including an accommodation for unseen damage. This raises two questions, both of which can be addressed in the same way:

1. How can a repair vendor provide a good repair estimate knowing that much of the damage is hidden?

2. How can you prevent repair providers from intentionally underbidding a project to get the equipment into their shop with an expectation that they can come back and ask for sizable supplements?

A reputable crane repair services provider should have the expertise and capability of providing a detailed scope of work for the obvious repair needs. That detail should include a parts list with prices and a labor breakdown based on the various components necessary to perform the repair. The same provider should also be able to consider the not-so-obvious, make assumptions, and put together an equally detailed “what-if” scenario estimate.

There is no reason not to expect similar documentation for the worst-case scenario. Having that information will help you to make a more-informed decision. And, if the crane repair services vendor is competent, they may be willing to agree to a limited amount for any supplemental exposure to repair the damaged crane.

So, make sure that you have asked for and received detailed documentation on the repair, including a worst-case scenario. Not only will it help you in the decision-making process, but it will also help you to eliminate the not-so-reputable repair providers. It is not too much to ask!